People of Northwest Public Radio
Class-action Bank Suit
Tue February 14, 2012
Oregon seeks to recover $15.7 million invested with New York Bank
Oregon seeks to co-lead a class action lawsuit against Bank of New York Mellon. The bank was allegedly involved in a foreign currency exchange manipulation scheme.
This triggered a loss of nearly 16 million dollars for Oregon's Common School Fund and Public Employees Retirement Fund. James Sinks is spokesman for State Treasurer Ted Wheeler:
Sinks: "Oregon was not directly affected by the currency trading but when this practice came to light, as you would expect, the value of Bank of New York Mellon's stock took a hit and Oregon lost, over the two funds, about $15.7 million just from those investment losses."
A New York Judge will decide if Oregon can be a lead plaintiff in the case. Sinks says the state was likely the investor that lost the most money after the fraud was revealed last year.
Copyright 2012 KLCC.